Dave Forsey Chief Executive 19 July 2012 - Sports Direct International

90 / FINANCIAL STATEMENTS AND NOTES
notes to the Financial Statements
For the 53 weeks ended 29 April 2012
16. Investments in associated undertakings and joint ventures Continued
Joint Ventures
On 25 July 2011 the Group acquired the remaining 50% of No Fear International Limited per Note 29.
The Group’s share of its joint ventures’ assets, liabilities and income statement, which is included in the consolidated financial statements,
is as follows:
29 April 2012
(£’000)
24 April 2011
(£’000)
Share of non-current assets - 5,260
Share of current assets - 4,510
Share of non-current liabilities - -
Share of current liabilities - (2,682)
- 7,088
53 weeks ended
29 April 2012
(£’000)
52 weeks ended
24 April 2011
(£’000)
Income 205 2,846
Expenses (239) (2,937)
Loss before taxation (34) (91)
Taxation - 75
Loss for the period (34) (16)
17. Available-for-sale financial assets
29 April 2012
(£’000)
24 April 2011
(£’000)
Available-for-sale financial assets 46,634 53,097
The fair value of the available-for-sale investments is based on bid quoted market prices at the balance sheet date.
The following table shows the aggregate movement in the Group’s financial assets during the year:
29 April 2012
(£’000)
24 April 2011
(£’000)
At beginning of period 53,097 51,566
Additions 523 -
Revaluation through other comprehensive income (6,986) 1,531
At end of period 46,634 53,097
It has previously been reported that some of our strategic stakes were held by Kaupthing Singer & Friedlander (KSF) and partly financed by
them. On 8 October 2008, KSF went into administration and the Group was in dispute with the administrators concerning the ownership of the
shares they held. In the 2009 financial statements the Group concluded that it may not directly “control” the shares for accounting purposes and
therefore treated them as having been derecognised. This derecognition resulted in the transfer of historic losses, previously recognised in the
statement of comprehensive income, of £53.2m into the income statement in the year ended 26 April 2009. £47.3m of this loss was in relation
to the Group’s shareholding in Blacks Leisure Group Plc (“Blacks”).
On 21 February 2010 the Company entered into an agreement with the administrator of KSF to acquire any rights which may be determined
that they hold. On 13 May 2010 the judgment of the court proceedings which commenced on 26 April 2010 was handed down. The court
determined that the Group had acquired beneficial interest in 12,153,071 ordinary shares in Blacks and 5,775,255 in JD Sports on 8 October
2008. This acquisition was reflected in the 2010 financial statements. The judgement also resulted in the Group regaining control of the shares.